Source: PaxForex Premium Analytics Portal, Fundamental Insight
Japanese Household Spending for February increased by 2.4% monthly and decreased by 6.6% annualized. Economists predicted an increase of 2.8% and a decrease of 5.3% annualized. Forex traders can compare this to Japanese Household Spending for January, which decreased by 7.3% monthly and 6.1% annualized.
Japanese Labor Cash Earnings for February decreased by 0.2% annualized, and Japanese Real Cash Earnings decreased by 0.2% annualized. Forex traders can compare this to Japanese Labor Cash Earnings for January, which decreased by 1.3% annualized, and to Japanese Real Cash Earnings, which decreased by 0.8% annualized. Japanese Overtime Pay for February decreased by 9.3% annualized. Forex traders can compare this to Japanese Overtime Pay for January, which decreased by 6.6% annualized.
Australian ANZ Job Advertisements for March increased by 7.4% monthly. Forex traders can compare this to Australian ANZ Job Advertisements for February, which increased by 8.8% monthly. The Australian RBA left interest rates unchanged at 0.10%. Economists predicted no change in interest rates. Forex traders can compare this to the previous Australian RBA Interest Rate Decision, where interest rates were left unchanged at 0.10%.
The forecast for the AUD/JPY remains bearish as the risk appetite increases further. Equity markets push to new all-time highs, ignoring what could be a rough summer for the economy. While the Tenkan-sen and Kijun-sen started to drift higher, the Ichimoku Kinko Hyo Cloud is forming a top. Price action faces strong resistance, and the CCI is expected to set another lower high, confirming the decrease of bullish momentum. Can bears regain control of force the AUD/JPY into its next horizontal support area? Subscribe to the PaxForex Daily Fundamental Analysis and earn over 5,000 pips per month.
Should price action for the AUD/JPY remain inside the or breakdown below the 84.000 to 84.450 zone, the following trade set-up is recommended:
- Timeframe: D1
- Recommendation: Short Position
- Entry Level: Short Position @ 84.250
- Take Profit Zone: 81.950 – 82.400
- Stop Loss Level: 84.950
Should price action for the AUD/JPY breakout above 84.450, the following trade set-up is recommended:
- Timeframe: D1
- Recommendation: Long Position
- Entry Level: Long Position @ 84.950
- Take Profit Zone: 85.950 – 86.200
- Stop Loss Level: 84.450
Open your PaxForex Trading Account now and add this currency pair to your forex portfolio.
